Boat Resto Biz

[KevOLikesBoating]

Hello,

While I am in the process of rebuilding my boat, I got to thinking - I could get pretty good at this. Why not buy project boats and resell them for a profit?

What I'm talking about here is boats reselling for under $10K. More specifically, boats around $5K. I think this is where I will make my money, as financing will not have to be involved.

I would appreciate any comments or criticism (constructive) of going into this. I'm mechanically inclined, have a great job with virtually no expenses, and plenty of time on my hands.

 

[ondarvr]

Re: Boat Resto Biz

There is little or no money in "fixing" and flipping boats, you just can't mark it up enough to get a return on the parts, materials and labor required to get the job done.

If you are very good at finding deals on boats that don't need anything but a good cleaning and can sell them quickly it may work, but one boat with issues will cost you the profits from several sales.

Add up the cost of your current boat, the stuff you've purchased for it and then tack $50.00 an hour on that for labor and see if you could sell it for that much. I have a boat on my hoist right now that I will give away, its in good shape and I?ll even deliver it?no takers.

 

[KevOLikesBoating]

Re: Boat Resto Biz

Well, I don't really count my labor, since this is something I enjoy doing - in my free time.

I don't go out on weekends, I'm in the garage.

 

[scca vette]

Re: Boat Resto Biz

I am in the process of doing this with the boat that I purchased. I looked around for a boat for around 2K that needed some work. I found many however after doing some research found that those certain boats were not worth a lot of money after repair. I found the Baja that I bought for $2500 bucks and after doing some research found that the same boat in good conditon was selling for an around 10-14K with a couple lower end at 8K. All the ones that I looked at had also already been sold.

I will end up with around 5500 in the boat total after it has all NEW parts. I also figured in the cost IF I had to rebuild the motor and outdrive. When I am done I should be able to come close to double on my money or a few thousand profit if I want to quick sell it (considering no motor / outdrive rebuilds).

I found the key to being able to do this and not have more in it than it is worth is to research parts and you can find really good deals. If I would have just picked up 1 catalog from a single supplier and ordered parts I would have probably close to douple in the price I paid for the parts. I think it can be done if you do some homework and not just buy any boat and go hog wild on buying parts.

 

[BigBoatinOkie]

Re: Boat Resto Biz

On the other hand, sounds like you could make a killing if you do repair work for people. The going rate for an I/O transom rebuild around here is like $1500-$2000, and people pay it And people even pay someone money to winterize their boat Could do tune ups too. I'm just sayin.

 

[drewpster]

Re: Boat Resto Biz

Not enough profit margin in my book. Plus it would ruin it as a hobby for me. I like to work on boats and hate to work on Semi trucks. But I have been doing that for 26 years. Nah! I'll stick with keeping it fun.
Plus, I'm so sick of sanding I would rather take a beating then have to do any more for awhile.

drewp

 

[jonesg]

Re: Boat Resto Biz

The smart money is on finding a boat owner who wants THEIR boat renovated, that way you never have to hold the bag.
Look at the quality of professional work, we're just playing.

 

[dbkerley]

Re: Boat Resto Biz

There is little or no money in "fixing" and flipping boats, you just can't mark it up enough to get a return on the parts, materials and labor required to get the job done.

If you are very good at finding deals on boats that don't need anything but a good cleaning and can sell them quickly it may work, but one boat with issues will cost you the profits from several sales.

Add up the cost of your current boat, the stuff you've purchased for it and then tack $50.00 an hour on that for labor and see if you could sell it for that much. I have a boat on my hoist right now that I will give away, its in good shape and I?ll even deliver it?no takers.

Well since you are going to throw in free delivery, that changes everything. Drop that puppy on a trailer and bring it on down. I'm sure I can do somthing with it under those circumstances.

 

[oops!]

Re: Boat Resto Biz

There is little or no money in "fixing" and flipping boats, you just can't mark it up enough to get a return on the parts, materials and labor required to get the job done.

If you are very good at finding deals on boats that don't need anything but a good cleaning and can sell them quickly it may work, but one boat with issues will cost you the profits from several sales.

Add up the cost of your current boat, the stuff you've purchased for it and then tack $50.00 an hour on that for labor and see if you could sell it for that much. I have a boat on my hoist right now that I will give away, its in good shape and I?ll even deliver it?no takers.

ondarvr states the absolute truth.....

The smart money is on finding a boat owner who wants THEIR boat renovated, that way you never have to hold the bag.
Look at the quality of professional work, we're just playing.

jonsy....after each boat...you get faster and better...and the quality of work is far better.....im currently doing a see doo that is an insurance write off...the thing was totaled...big honkin holes in the top cap, and the gunwhales were totally smashed.
after 3 hours of glassing...the lines are back...and im just waiting for the gellcoat from the manufacture. the owner cant believe its the same watercraft.

to the OP...
the main thing in ANY BUSINESS IS PURCHASING,,,
if you can get your hands on a 70 thousand dollar wake boat for 3 grand and put 10,000 into it.....you can sell it for 40 thou. but the window for sales is only a few months. (early spring)
if you miss the window....that is a lot of money to have tied up for a full year.

good luck
oops